Gravity Co. Ltd. (GRVY)

This is a Korean company that is in the gaming business. At one point they were very successful. They have a lot of money in the bank and revenues are coming down. They need the next big game. Sold his holdings for a tax loss. It didn’t meet the standards that he had set and it wasn’t moving in the right direction.

This is a games company and are waiting for the next hit. In the meantime, they are bleeding cash. Just reported a loss of another couple of million dollars. Have a tremendous amount of money in the bank, over $40 million and about a $1.50 a share in cash. So it is trading at less than cash value, but they are having all kinds of difficulties because they can’t find that new game.

Games maker out of South Korea. Gives you geographical diversification. Lost a bit of money this past quarter but has $50 million in cash ($1.75 a share) and no debt. Coming out with new games for the English market as well as another game for Asia. Looking for at least a double.